The event was an earnings conference call held on Thursday, 5th November, 2026, to discuss the Unaudited Financial Results for the Quarter and half year ended 30th September, 2026 (Q2 FY27).
The call was moderated by Mr. Navin Agrawal of SKP Securities Limited.
Management participants included:
Mr. Sanjay Agarwal – Managing Director and Chief Executive Officer
Mr. Keshav Bhajanka – Executive Director
Mrs. Nikita Bansal – Executive Director
Mr. Arun Julasaria – Chief Financial Officer
Mr. Sumant Wattas – Chief Executive Officer, MDF and Particle Board
Mr. Vishu Goel – Chief Executive Officer, Laminates
Financial & Business Highlights from Opening Remarks
Consolidated Performance: Achieved highest-ever quarterly consolidated revenue of INR 1,780 crores, a YoY growth of 28.5%. EBITDA, excluding forex losses, stood at INR 232.3 crores (margin of 13.1%), compared to INR 181.6 crores in Q2 FY26. PAT increased by 46% YoY to INR 103.6 crores from INR 70.9 crores.
Plywood Business: Revenue grew 28.6% YoY and 14% sequentially. EBITDA margin stood at 15.7%. A 60,000 CBM per annum greenfield plywood plant at Hoshiarpur commenced operations in Q3 FY27. Brownfield expansions at Guwahati and Kandla plants are progressing, with enhanced production expected from July 2027. Land allotted by the Government of Uttar Pradesh for a proposed project. Launched a new campaign featuring Aamir Khan to promote the 'Total Cover Guarantee' (TCG), a 10-year comprehensive warranty on premium plywood ranges.
Laminate Business: Revenue grew 20.6% YoY. EBITDA margin improved to 11.6%, supported by better product mix and improved capacity utilization. New press commissioned at Vardhaman for larger format laminates.
MDF Business: Revenue increased 13.6% sequentially and 10.5% YoY. EBITDA margin, excluding forex losses, improved sequentially to 8.9%.
Particle Board Business: Crossed quarterly revenue milestone of INR 100 crores for the first time. Revenue increased 16.8% sequentially and 211% YoY. EBITDA margin, excluding forex losses, improved to 7.4% from 3.7% in the previous quarter.
Logistic Business: Reported revenue of INR 58.8 crores, a YoY growth of 72.7%, and is nearing EBITDA breakeven.
Financial Overview: ROE increased from 13.1% in FY26 to 16.6% in Q2 FY27. ROCE improved from 13.4% to 16.67%. Focus is on improving utilization and asset productivity rather than aggressive capacity expansion.
Key Q&A Takeaways
MDF Business: Management guided for 17-18% growth in H2 FY27 and aims to achieve double-digit EBITDA margins by the end of the year (H2). The industry is in an overcapacity situation, with new capacities from Action and Elixrr. Margin recovery to 20% is expected from FY29 onwards.
Particle Board Business: Current capacity can generate INR 600+ crores revenue. No further expansion plans currently. Utilization is below 70%, with scope to reach 3 lakh CBM with efficiency improvements.
Plywood Business: Margin guidance for the year is 14-15% (H1 was 16.3%), with the difference attributed to planned marketing spends for the new campaign. A 7% price increase was taken in April.
Capex & Debt: The company's debt level is elevated due to recent capex and working capital requirements from rapid growth (H1 revenue up from INR 2,500 Cr last year to INR 3,300 Cr this year). The long-term target for debt-to-EBITDA is 1:1. Large-scale capex will only be pursued once this is achieved. The MDF expansion in UP (330,000 CBM) does not have a firm commissioning date yet. The first phase in UP will be a plywood capacity of 108,000 CBM.
Laminate Exports: Exports are growing well, but the company does not disclose the domestic vs. export revenue split.
Additional Notes Section
The document is a transcript of the conference call submitted in compliance with SEBI LODR Regulations.
The transcript contained the full Q&A session with analysts from firms including Nuvama, SKP Securities, Ikigai Asset, Anand Rathi, Investec, and Kotak AMC.
The summary is based strictly on the disclosed transcript; no financial data was fabricated or inferred.
